Archive for Commentary

Songdo and Cisco IoT Smart City

Smart City

Songdo and Cisco Smart City

Cisco has been a long time partner of smart city Songdo International Business District. I recall as the city was in its early stages a team of their executives visited Songdo and marveling over the plans.

Datamation.com notes:

Songdo, South Korea 

In South Korea, Cisco created a “living lab” called the IoT Cube to drive innovation into the Songdo technology deployed there. South Korea is considered one of the most advanced countries in regard to smart city and Internet technology. Using advanced concepts like fog computing, Cisco was able to demonstrate real-time data tracking and analytics for Songdo’s citizens, which was critical to assuring that resources were where those citizens needed them to be.

This was a very real example of the next generation of 5G wireless networking and became a global showcase for what will be possible. Songdo is yet another Cisco innovation center location.

https://www.datamation.com/commentary/cisco-blending-social-responsibility-with-long-term-business-growth.html

 

DS

Weekend Read # 8: Relationships

Relationships… amid disruptive market conditions perhaps the greatest ripple effect challenge to Korean global business is how best to maintain positive and collaborative working relations between Western and Korean teams.

This March weekend read provides some recommendations.

relationships

Relationships matter

From a cross-cultural perspective, Korean commerce is dependent upon relationships and interpersonal interactions.

Western business, in contrast, leans toward process and procedure.

Therefore when Korea-facing working relationships are strained, culturally, there is a heightened impact throughout the entire organization.

Without discounting market conditions and intense pressure to meet aggressive sales goals, I see the impact of adapting to a rapidly changing and disruptive business landscape at the core of many strained relationships.

As author Thomas L. Friedman points out in Thank You for Being Late: “As we transition from an industrial-age economy to a computer-Internet-mobile-broadband-driven economy—that is, a supernova-driven economy—we are experiencing the growing pains of adjusting.”

Drilling deeper, I have found this acceleration has markets and industry sectors ever shifting.

For example, the automotive industry is witnessing and adjusting to new consumer preferences, such as collaborative consumption shared ride services, self-driving autonomous technology and eco-friendly vehicles.

That said, we as a society are also experiencing the need to adapt more frequently and at a more rapid pace than ever in the past.

The good news is we are perhaps adapting faster than anytime in history. Still there is a substantial gap in the high rate of change and speed we adapt. This gap is disorienting and business models that worked in the past have become outdated further adding to stress and frustration.

In my work, this leads to a Korea driven climate of reactive and hopeful second-guess decision-making, or, in some cases, the opposite in stalled action.

In both situations, I feel we need to embrace a middle course— a well thought out and responsive plan.

Again Thomas Freidman, too, recognizes this need to ponder. He notes, and I paraphrase:

Patience… space for reflection and thought. We are generating more information and knowledge than ever today, but knowledge is only good if you can reflect on it.

In closing I return to my original point of the vital importance of maintaining relationships amid the current market condition. No matter how challenging the situation we need to take time and work to forge strong collaborative bonds within teams Friedman again remarks:

And it is not just knowledge that is improved by pausing. So, too, is the ability to build trust, …to form deeper and better connections, not just fast ones, with other human beings.

http://www.bridgingculture.com

 

 

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Weekend Read: Hit the Target–a Korean Business Lesson

Hit the target

Don Southerton and Hit the Target

Hit the target, a comment tied to Korean business.  A week does not go by without a colleague or client expressing deep concern for what seems an overarching and singular need for their company to reach their sales numbers. To most, despite a number of vital business initiatives, they feel the monthly demand to meet “Plan” is all that matters.

I can recall more than a decade ago while mentoring a new American divisional vice president being pulled aside by his Korean expatriate counterpart, an Executive Coordinator. The Korean obviously under duress and knew I understood the company as well as HQ expectations.

The Korean asked passionately for me to stress to the new American VP they needed to Hit the Target. He repeating the phrase, 3 times so to ensure I got it… then patting me on the back before sending me over to the adjacent office with the VP.

Frankly, as long as I have been working with Korea facing global business it has been the driven force.

In another case, I was a speaker at LG’s Mobile national sales meeting. Capping the upbeat and motivating event, the Korean CEO with a huge graph projected behind him shared their amazing unit sales growth over the years. He then added the next year’s “stretch goal” as a hush came over the room. The new goal a huge bump over past years, which had pushed teams and the organization to their limits.

To be fair, this model is not unique to Korean business. It is also the subject of frequent discussion in Korea.

However, South Korea’s modern economy was once rooted in a state-run export-driven model—the government fixing private industries and well as the nation’s overall production and sales quotas in many sectors.

Today despite leading international as well as Korean economic experts arguing the old model is dated and need to move more to the service sector… the export production model still remains a driving force…

In part with so much of the Korean identity, economy and jobs tied to export production the Groups are under pressure to continue to seek growth each year—push the teams even harder.

So what’s the solution?

First, we need to accept this has long been the foundation of Korean business and it has been their proven success model.

It’s part of their Culture and a norm accepted by many.

In turn, others do hope and argue for Korea to re-invent and redefine itself, less focused on growth numbers and more on a being a leader in new technology and innovation synonymous with Silicon Valley.

Care to discuss some additional solutions specific to your needs?

Dsoutherton@bridgingculture.com

Http://www.bridgingculture.com

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Weekend Read 6: Korean teams

Korean teams

Korean teams.

Continuing with our Weekend Reads’, this week we look at supporting Korean expatriate teams, although the lessons apply well for all of us “working within a Culture.

 

 

 

Here’s the link.  Enjoy.

https://docs.google.com/document/d/18pV5rE6yYLGLPIpTydbFBdVzXQsmcXxT8p1o_VQ-g7I/edit?usp=sharing

BTW, we welcome consulting and mentoring opportunities to support you and the team. That said, as always if you have questions, feel free to reach out.

And, If you missed a previous “Read,” you can access under Case Studies at

http://www.bridgingculture.com/what-we-do.html

 

DS

Korea Business Insights Weekend Read 3: Shinhwa

Korean business: 3 essentials
Korea business insights. In addition to a number of books, case studies and commentaries I’ve written several short articles that give snapshots into Korea business.

This week it’s a storyline strongly tied to the Hyundai Motor Group.  That said, it’s also very relevant for all engaged and interested in Korea facing business as I provide some deep insights into Korea business DNA. 

The Hyundai Galloper Shinhwa, Myth and Legend
With the introduction of Genesis, the Hyundai Motor Group’s premium luxury car division as well as Kia Motors’ Niro and Hyundai Motor’s Nexo, all part of an expanded model lineup of FCEV, hybrid and electric vehicles, many in the industry see these as bold moves by the Hyundai Motor Group and it leadership. 
More so, the Group has joined in a number of high profile technology partnerships and committed billions over the next few years to mobility, AI, and autonomous vehicles. Actually, it is but the latest chapter in a story and a legacy reaching back decades. 
Link to Full Story.
DS

South Korea Market Entry

Korean business: 3 essentials

Looking at Korea and market entry ?  Here are some hints.

DS

 

https://brandinginasia.com/south-korea-market-entry-2/

 

 

The De facto Korean Business Norm

A familiar Korean business term is balli balli. It translates as hurray-hurray. Actually, balli means hurray, but it word is always used in tandem adding to the need to move fast. I first recall hearing the word in the 1970s in martial arts class—the Korean instructor at times commanding we move faster in executing a kicking drills.

Don Southerton

To many Korean firms balli balli it’s a de facto business norm— with everything from immediately responding to requests for data to launching major projects.

More to the point, it means things need to get done today and now, not tomorrow.

For westerners, moving fast can often be a concern–conflicting with the Western business model of careful meticulous study and planning before implementation.

In contrast, one complaint voiced with frustration by my Korean colleagues is how slow Westerners move on projects.

In turn, my Western clients shake their head and argue Koreans want to jump into a project or situation with little preparation.…. and balli balli seems to perpetuate a culture of waiting to the last minute.

Now not being judgmental, and yes, I know the challenges in moving fast without exploring all the potential shortcomings… still I’d like to share the Korean perspective….

Observing the Korean model for years, I have come to see where moving faster may be more than meets the eye. In fact, it’s very entrepreneurial trait. When one shortens the time needed to complete a project, the focus is then on identifying the critical tasks that contribute most and with quickly moving on to execution.

In contrast, the longer the deadline, the more time gets spent in analysis and discussions with an ever-lessening focus on the task. The phenomenon is a corollary to Parkinson’s Law (i.e. “work expands so as to fill the time available for its completion”). In particular, we find end productivity and quality are equal or higher with a shorter deadline due to greater focus.

All said, when working with Korean leadership and teams understanding their perspective is key…. and allows us to, in turn, “ work within the Culture,” and then provide alternatives. The later, something I strive to provide as a mentor and executive consultant.

 

DS

Everything Korea September 11 Episode. A Revisit- Working with Korean Teams

Korean Business with Don Southerton

For most of my career I have worked with Korean teams—many based in Korea, many in local overseas operations. I find both exchanges rewarding, but very different and require a varying set of skills. I’d like to offer some best practices.

To begin

We find with Korea facing international operations the primary communication channel between the Korean HQ and local subsidiary is through expatriates—although in some cases this is shifting.

In key positions, Korean expats serve in roles including the CEO who is responsible for managing the local company or region. The CFO and technical support can be expats, too. Most often these Korean expats along with local leadership executive form the core for business operations in the host country.

By the way, the expats below senior management are often referred to as “Executive Coordinators” or “Executive Advisors” in the West. As a caveat, this model does vary some and in some organization we see a mix of “Coordinators” and Korean assigned as line managers. However, the Korean term for these expatiates is ju jae won.

In the larger overseas subsidiaries, the Korean expats are assigned to the major departments.

In many instances, as I mentioned, the expat Coordinators are not assigned a direct managerial role but still hold considerable oversight over the local operations.

Roles vary with each company, but frequently a Coordinator’s primary role is to be a departmental liaison and communication channel between Korea and the local subsidiary.

That said, for westerners unfamiliar with the Korean model, this “oversight” usually translates into the Korean expats requiring sign off on all decisions—trivial to substantial.

This can be a huge challenge when newly assigned expats have little specific background in or knowledge of the host country’s operations and market. More so, when their decisions are motivated by what they feel would please the HQ in Korea.

Cognitively, they do recognize local management skills and expertise, but especially if under pressure to perform and meet expectations may defer to engaging in decision-making.

Of course, this can be a challenge.

New ju jae won are skilled and accomplished in Korean style business operations, norms and practices.

However, they are now assigned to an overseas subsidiary where norms, practices, expectations, and laws differ. Adding to this “Managing westerners” is very different than overseeing a Korean team…

Next, I’ll cover several scenarios with best practices for supporting overseas team. All take finesse and collaboration, plus recognize norms and practices differ… as well as require working “within the Culture.”

To again clarify, my perspective is based on years working with Korea and especially in daily mentoring and providing strategy for their overseas operations—Koreans and Westerners.

Scenario One

It’s common for a Korea expatriate, frequently called a Coordinator, to directly request members of the team to gather information or data on the local operation. Usually, Korea has asked for this information and the Coordinator is executing the request. These always have a sense of urgency.

The Challenge is the local departmental head may be circumvented (often unintentionally)…. and requests disrupt operations and designated priorities. More so, the line of management for the department is blurred—i.e. staff confused on “who is in charge.”

The Workaround centers on an effective working relationship between the Coordinator and the department head. An understanding must be reached that when requests from Korea (or from the senior Korean leadership at the subsidiary), it is first brought to the department head… and they handle who will execute.

In particular, the local western manager is more familiar with their team, individual workloads, any special situations and skill sets. In fact, with a clear communication channel the work will be performed with better results by the individuals tasked with the assignment, and less stress on the Coordinator asked to acquire the data.

As a caveat, one burden on a department can be when a high percentage of work and tasks teams are engaged are to support Korea and not the local operations.

Scenario Two

As noted, a Coordinator’s role is to support the local operation. Local teams and specialists are hired with a high degree of knowledge and experience. A clash occurs when decisions best left to those in the know are deflected.

The Challenge occurs when Coordinators override a decision or unilaterally make the call. This can range from the hiring of new employees to pushing off a much-needed program.

Again, the Workaround is a clear Company-wide defined role for the Coordinator. They are advisors who can provide much-needed input and an HQ / mother company perspective… but not assume line manager responsibilities.

In other words, clarity must be established in regard to as long as they are acting on behalf of the mother company considerable weight must be given to their input. That said, even when they have the company’s best interest in mind, their own personal views must be gauged and moderated.

Scenario Three

Perhaps the most challenging situation is moving Coordinators to make a decision.

The Challenge In most Korean companies leadership decide on direction and major issues. In turn, the working team’s role is to implement or gather needed information. This role/ skillset changes when working level Koreans are assigned as an overseas Coordinator.

Workaround When conducting a meeting where a decision must be made recognize that your Coordinator will have considerable say in the outcome. First, since the topic and subject matter may be new to your Coordinator, I recommend you share prior to the meeting any needed background documents (best provided in PPT format).

In addition, have an informal pre-meeting Q&A with the Coordinator to brief and update them on any specifics. Note: they may need a day to review proposals and agreements, so timing is critical.

Even in the best cases, expect that the Coordinator may want to postpone any decision until they can carefully review and perhaps confer with Korea. I suggest all documents and meeting PPTs be immediately forwarded to the Coordinator.

I’d create a sense of urgency with a timeline for execution and implementation. Regardless, expect some delays and be patient.

Over the years, I’ve found that Coordinators appreciate when their overseas co-workers recognize that the internal approval process takes time and be ready to offer, as needed, additional supportive data or documents.

BTW, if you are a vendor and your firm provides services to a Korea-based partner, it’s best to provide both the western and Korean teams with background information prior to any meetings. Moreover, be prepared to share the meeting’s content in digital format afterward with the Korean team, too.

With the shift to ever-increasing daily interactions with Korean HQs via web and phone conferences, western teams need even deeper practical insights into working within the Culture along with new skill sets.

In particular, the Executive Coordinator/ Advisor model has had its limitations…but the Koreans assigned as expatriates do learn local norms and adapt over time. This means the Coordinators mold to local operations with a little need for many of the local teams to become skilled in Korea workplace norms.

In contrast, working with teams based in Korea takes a different approach.
Korea-based teams follow deeply embedded HQ and company norms. They are not likely to model or adapt to their overseas subsidiaries.

This now means 1) becoming acquainted with Korea norms, understanding the Korean workplace “in’s and out’s” and “do’s and don’t.” And, 2) developing strong skills in managing the relationship with effective cross-communication taking on a new heightened significance.

Over the past years, I’ve shared solutions in my books, articles and case studies… that said, I find that each situation requires one having to drill deeper to truly grasp and then provide a solid resolution.

Thoughts?

As always, Stacey stacey@koreabcw.com, my assistant can schedule us a time to meet or chat by phone.

For all urgent matters, text me at 310-866-3777

For more information on my work…. www.learnmore.Koreabcw.com

 

Everything Korea; September 5 Episode, Korean Business Relationships Amid Acceleration

 

Korean Business with Don Southerton

 

Amid disruptive market conditions perhaps the greatest ripple effect challenge to Korean global business is how best to maintain positive and collaborative working relations between Western and Korean teams.

 

From a cross-cultural perspective Korean commerce is dependent upon relationships and interpersonal interactions. Western business, in contrast, leans toward process and procedure.  Therefore when Korea-facing working relations are strained culturally, there is a heightened impact throughout the entire organization.

Without discounting market conditions and intense pressure to meet aggressive sales goals, I see impact of adapting to a rapidly changing and disruptive business landscape at the core of many strained relationships.

As author Thomas L. Friedman points out in Thank You for Being Late:

“As we transition from an industrial-age economy to a computer-Internet-mobile-broadband-driven economy—that is, a supernova-driven economy—we are experiencing the growing pains of adjusting. ”

Drilling deeper, I have found this acceleration has markets and industry sectors ever shifting. For example, the automotive industry is witnessing and adjusting to new consumer preferences, such as collaborative consumption shared ride services of which Uber, Lyft and Maven are examples, self-driving autonomous technology and eco-friendly vehicles.

That said, we as a society are also experiencing the need to adapt more frequently and at a more rapid pace than ever in the past.  The good news is we are perhaps adapting faster than anytime in history.  Still there is a substantial gap in the high rate of change and speed we adapt. This gap is disorienting and business models that worked in the past have become outdated further adding to stress and frustration.

In my work, this leads to a Korea driven climate of reactive and hopeful second-guess decision-making, or, in some cases, the opposite in stalled action. In both situations, I feel we need to embrace a middle course— a well thought out and responsive plan.

Again Thomas Freidman, too, recognizes this need to ponder.  He notes, and I paraphrase:

Patience… space for reflection and thought. We are generating more information and knowledge than ever today, but knowledge is only good if you can reflect on it.

In closing I return to my original point of the vital importance of maintaining relationships amid the current market condition.  No matter how challenging the situation we need to take time and work to forge strong collaborative bonds within teams Friedman again remarks:

“And it is not just knowledge that is improved by pausing. So, too, is the ability to build trust, …to form deeper and better connections, not just fast ones, with other human beings, our ability to forge deep relationships—to love, to care, to hope, to trust, and to build voluntary communities based on shared values—is one of the most uniquely human capacities we have.”

 

Everything Korea, January 9 Episode, The Three Korea Facing Business “Must Do’s”

Must do #1
Stay informed on the economic and political issues in Korea that will impact business in 2017.  For many of you, I do this in daily updates.  If you are not receiving and would like to be better informed, please let us know and we’ll add you these updates.

Must do #2
Mentoring and coaching has never been as vital. Anyone in your organization that has exposure and interactions with Korean teams and leadership need this support.  This can range from training sessions to one-on -one mentoring.  Assuming teams will “get it” is like throwing someone in the deep end of the pool and expecting them to swim and not sink.  Sadly, the later has been the model, with a few exceptions…frankly this attributes to employee and leadership struggles—for example, trying to second guess Korea HQs perspectives,  or investing time and resources in projects only to have them stalled, postponed or dropped.  The investment in mentoring always offsets the huge costs tied to frustrating and misunderstanding that lead to leadership and staff turnover, not to mention poor performance.

Must do #3
Finally stay flexible and be seen as adaptive to change.  Provide options vs. singular solutions to challenges.  Offer, when appropriate, even an “out of the box” additional option.

All said, look for more “Must do’s” in the following weeks, with this as a good start for 2017.

As always, we open to discussing your needs and concerns. Stacey, stacey@koreabcw.com, my assistant can schedule us a time to meet, or chat by phone.  For urgent matters, Text me at 310-866-3777